High Quality Content by WIKIPEDIA articles! Iceland is a European island country located in the North Atlantic Ocean on the Mid-Atlantic Ridge. It has a population of about 320,000 and a total area of 103,000 km2 (39,769 sq mi). The capital and largest city is Reykjavík, with the surrounding area being home to some two-thirds of the national population. Iceland is volcanically and geologically active on a large scale. The interior mainly consists of a plateau characterised by sand fields, mountains and glaciers, while many glacial rivers flow to the sea through the lowlands. Iceland is warmed by the Gulf Stream and has a temperate climate despite its high latitude just outside the Arctic Circle.